Tuesday, July 15, 2008

Sensex and Nifty languish as selling continues - July 15, 2008

As selling continues unabated in a number of front line stocks, the benchmark indices Sensex and Nifty continue to languish deep down in the red this morning. Bank stocks remain the worst hit.

Power, FMCG, capital goods, auto, pharma and metal stocks have also declined sharply. Several stocks from the realty space have posted sharp losses. IT stocks have bounced back into the reckoning after recent big losses.

A few stocks from midcap and smallcap segments have recorded smart gains. Still, the BSE Midcap and Smallcap indices are down in the red, lower by 1.03% and 0.82% respectively from their previous closing levels.

The market breadth remains weak. On BSE, out of 2086 stocks seen in action, 627 stocks have posted gains. 1398 stocks are down in the negative territory and 61 stocks trade flat.

Airlines stock SpiceJet has moved up sharply to Rs 30.25, recording a handsome gain of 8.25% following an announcement from the company that the Board of Directors of the Company in its meeting held on July 14, 2008 has accepted the offer of WL Ross & Co. LLC which will make available approximately Rs 345 crores (around $80 million) to SpiceJet.

What's your say on tumbling Sensex

SRF Ltd has informed BSE that the Company has, through one of its international subsidiaries, entered into an agreement for acquisition of the belting fabrics business of Industex Technical Textiles (Pty) Ltd, a South African Company.


The business unit has an annual production capacity of approximately 3500 tonnes of Belting Fabrics with annual sales of around Rs 68.80 crores. This acquisition will cost SRF approximately Rs 20 crores including working capital. The SRF stock has recorded a modest gain of 0.8% at Rs 123 at present. Around 29,000 shares have changed hands at the SRF counter on BSE this morning.

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